According to the latest market report from Urbanation Inc., a total of 4,432 new condominium units were sold in the GTA during the first quarter of 2015, a decline of 10 per cent from the year prior. At the same time, unsold condos in pre-construction fell 16 per cent to 8,781 units and condos under construction fell to 7,059 units, a nine per cent year-over-year decline.

“Underlying market conditions for new and resale condos have tightened considerably, which should quell concerns of over-building” said Shaun Hildebrand, Urbanation’s Senior Vice President. “Record levels of completions are being offset by a very limited turnover of units listed for resale and a reduced number of new condo project openings, supporting a steady level of price appreciation.”

Over the last 12 months, the average price of a new condominium grew by two per cent ($562 per square foot) and resale condo price growth rose by five per cent ($431 per square foot).

While new condo sales slowed on a year-over-year basis in the first quarter, resale transactions reached record highs with 84 per cent of units in actively marketed developments having sold. Resale transactions and listings both grew by 14 per cent, year-over-year.